Kromek continues its growth with £4m orders

Technology firm Kromek has secured orders worth almost £4m for its pioneering products less than a month after floating on AIM for the first time

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Kromek chief executive Arnab Basu

Technology firm Kromek has secured orders worth almost £4m for its pioneering products less than a month after floating on AIM for the first time.

Formerly known as Durham Scientific Crystals, the business started as a spin-out from Durham University spearheaded by a team of two in 2003.

It has now grown to be a world leader in colour imaging for x-rays, facilitating advances in areas like cancer detection, airport security, industrial inspection and space exploration.

The 100-strong firm, based near Sedgefield with offices in the US, last month raised £15m in an over-subscribed fundraising, with shares admitted at 51p each soaring to a high of 59.8p by the end of trading on the first day.

Now, less than a month after its first day on the junior market, the business has announced it has received an order worth in excess of $990,000 (£617,300) to supply its specialised Cadmium Zinc Telluride (CZT) detectors to a medical manufacturer, who will include Kromek’s technology as they build equipment for the health market.

A letter of intent was sent in by the customer, an American manufacturer, early last month and it has now been converted into a solid order, the majority of which is expected to be completed and delivered in the current financial year.

Kromek has also announced it has received its first $1m (£623,000) from a CT (Computed Tomography) scanner manufacturer, as first-year payment for a £3.3m mutually-exclusive development contract.

The firm is to develop and supply its CZT colour detector technology as part of an initial two-year programme with the manufacturer.

Arnab Basu, chief executive, said: “We are delighted to report progress in some of the key markets on which we focus, soon after our successful listing on AIM. Kromek has shown its ability to convert opportunities into contracted orders, which demonstrates the strength of our technology and strategy in these fields. We look forward to developing further our relationships with global original equipment manufacturers as we continue to grow.”

“We have proven multispectral detection and imaging technologies which we are working hard to help combine into medical imaging systems for our global customers, providing them with a means to improve diagnostic capabilities resulting in better clinical outcomes.”